Mortgage application volume fell sharply this holiday season, decreasing 9.1% on a seasonally adjusted basis from two weeks earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Application Survey for the week ending Jan. 2.
On an unadjusted basis, the Market Composite Index — a measure of mortgage loan application volume — decreased 37% compared with two weeks ago.
Additionally, the Refinance Index decreased 12% during the same time period, while the seasonally adjusted Purchase Index decreased 5% and the unadjusted Purchase Index decreased 33%. The Purchase Index was 8% lower than the same week one year ago.
Compared with a week prior, the refinance share of mortgage activity increased to 65% of total applications from 63%, as the adjustable rate mortgage share of activity decreased to 4.9% of total applications.
Written by Emily Study